Organizational Behaviour: Impact on Arcadia Group Performance

This report provides an in-depth analysis of organizational behaviour, focusing on the Arcadia Group. It examines the impact of organizational culture, politics, and power on employee behaviour and performance, exploring how these factors influence both individuals and teams. The report delves into motivational theories, including content and process theories, and assesses their application in motivating employees to achieve targets. Furthermore, it differentiates between effective and ineffective teams, outlining the key elements that contribute to successful teamwork. Finally, the report applies concepts and philosophies of organizational behaviour within the Arcadia Group context, offering insights into improving workplace dynamics and overall organizational effectiveness. This report is a valuable resource for understanding and applying organizational behaviour principles in a real-world business setting.

ORGANIZATIONAL
BEHAVIOUR

Table of Contents
INTRODUCTION...........................................................................................................................3
LO 1 ................................................................................................................................................3
P 1 Impact of culture, politics and power of an organisation on the behaviour and performance
of the individual and team......................................................................................................3
LO 2.................................................................................................................................................6
P 2 Content and process theory of motivation that help to motivate employees to achieve
target.......................................................................................................................................6
LO 3.................................................................................................................................................8
P 3 Effective team as opposed to ineffective team ................................................................8
LO 4...............................................................................................................................................10
P4. Applying concept and philosophies of OB....................................................................10
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14
Tuckman: Forming, Storming, Norming, Performing model........................................................16

INTRODUCTION
Organisational behaviour refers to the set of some activities consisting in management
study. In which the different kind of knowledge is being consider such as action of people within
an organisation. It refer as the tool that give benefits to the human or employees of the
organisation. It considers with the production, control and understanding of the human behaviour
in the organisation. This study of organisational behaviour is based on the Arcadia group, which
is British multinational retailing company. Headquarter of Arcadia group is in London, United
Kingdom. This Arcadia group owns different high street clothing retailers like Dorothy Perkins,
Evans, Topman, Wallis and Miss Selfridge and also the out of town chain outfit, which work as
the line chain outfits and sells lines from other group. Arcadia group has more than 2,500 outlets
within the UK.
This study will consist, analysis the influence of different politics, culture and power on
the behaviour of the employees within the organization. This will explain how to motivate
employees to work effectively by applying the motivational theory. Furthermore this study of the
organizational behaviour of Arcadia group demonstrate how effective team work and element
that make effective team as opposed to ineffective team. Lastly concepts and philosophies of
organizational behaviour within Arcadia group.
LO 1
P 1 Impact of culture, politics and power of an organisation on the behaviour and performance of
the individual and team
Organizational politics refer to the variety of activities and process that consist with the
influencing of organizational and personal interest in improving the tactics in organization.
Where power in the organization refer to the authority in an organization, that affect the
thoughts, have ability to influence other employees by its process. It is the right to influence
other person in the organization (Musringudin, Akbar and Karnati, 2017). Organizational culture
includes the different expectations, value, philosophies and experience of employees that help to
interact and inner working condition of employees in organization.
Politics in the organization

Politics in the Arcadia organization refers to the irrational behaviour of the team and
individual in the organization that can not be controlled by the organization. This politics in the
Arcadia group create negativity at workplace.
Politics in the organization arise when employees of the Arcadia group do not want to
work hard, and they create the politics in the organization to make security of their position in
Arcadia group company (Pentland and Hærem, 2015). Another reason that create the politics by
the employees of Arcadia group is that, when employee want to popular in organization and also
want to come in lime light and also want attention from their seniors of the Arcadia group.
Influence on team and individual
As politics is the irrational behaviour of employees in the Arcadia group, that affect the
productivity of the organization by affecting the teams and individual in the organization.
Individual who want to gain attention from the top management and seniors of the Arcadia group
without doing any hard work and this affect the working capacity of the individuals as they do
not pay attention n their work, and as the team is consisting with different individuals of Arcadia
group, then the individuals who play politics in the organization also affect the working capacity
of whole team, they do not understand their role in the team, not actively participate in the group
decision. Individuals mostly concentrate on leg pulling of other employees and criticize them
(Miner, 2015).
This affect the performance and behaviour of the team and individuals. As by leg pulling
and criticizing, moral and confidence of other employees has reduced they do not concentrate on
their work affectivity. Because of this relation among the different employees also get spoiled,
and they do not work effectively as a team to achieve a common goal for the Arcadia group. As
individual mostly involved in politics and spoil the image of other employees in front of their
seniors. This situation affects the other employees that the attitude of the employees changed
because of the politics in Arcadia group and also dislikes by other as well. They do not
concentrate on their work but more concentrate to spoil the work of the others. This whole
situation and politics in Arcadia group affect their performance and behaviour of team and
individual as they do not behave positively in the organisation and relationship between
employees and superiors get spoiled. Superiors do not concentrate and try to terminate them.
This also influence the team behaviour, as individuals not cooperate with team members and
whole productivity get decreased and overall target not be achieved.

Impact of Power on team and individual
There are different types of power in the organisation that influence the teams and
individuals of the Arcadia group. This power refers to the authority and higher position of the
organisation that influence the team and individual in positive and negative both ways. Such as
coercive power, is this power is play in the form of punishment and fear to the employees and
dominate them. Referent power, this refer to the personal power in which the decisions and
opinions are valued and respected by the other employee on the basis of the work and
experience. Reward power, this ruled by the management in the form of praise, appraisal, reward
and promotion. That influence team and individual at great extent. Last one is legitimate power
which is formal form of power, played by the superiors to rule over the organisation and
employees.
Arcadia group follow the reward power in their organisation to influence the performance
and behaviour of the employee in the organisation. That make the whole organisational working
environment. As this power of reward affect the individual and help to enhance their working
performance. To gain the reward and more appraisal from the company management, individual
work effectively, behave positively and nicely with others and try to make relation and bond with
employees. This relation affects the team as well, that all individuals work together and
cooperate each other in order to achieve the conman goal of Arcadia group. Reward refer as the
respected and link with the image of employee. It motivates individuals to work effectively and
behave nicely with team and in whole organisation as well. In this way reward influence the
behaviour and performance of team and individual.
Influence of culture on performance and behaviour of team and individual
There are four types of culture that can influence and affect the team and individual
performance and behaviour in the organisation. These culture are competitive, controlled,
collaborative and creative all these have different attributes that affect the organisation and its
productivity.
As in this, individuals are being motivated to work in collaboration and help each other to
easily reach at the target of Arcadia group. With this they work effectively as individual and as
team and work effectively. In this way performance of team and individual has increased. This
also influence the behaviour of all. As they work collectively then the string bong is being
created and they behave nicely and respect each other (Miner, 2015).

Handy's cultural model
This define the four types of the culture in organization, which are:
 Power culture- it is a type of culture in which power remains only in hands of few
people. They take all decisions and develop plans. The decisions to be followed by
subordinates forcefully. Moreover, employees are not able to work freely. However,
sometimes top management can be partial with others.
 Role culture- It is a type of culture which is created by assigning roles and
responsibilities to employee as per their experience and qualification. This culture is
highly useful which enables employee to perform their roles in effective way. Here,
power comes with responsibility.
 Task culture – Here, employees or individuals who are having similar interest work
together by forming a team. They all contribute equally in completing task in creative
way. This culture is best suited in those organisation where highly experienced
employees work.
 Person culture – this is a culture where employees think that they are more important
than organisation. The staff remain loyal towards company and make decision by
considering company. Basically, for staff money is more important and they come to
office for earning money only.
Arcadia group follow the person culture in their organization, in which they give the
preference to their employees, so that they can work effectively to achieve the target and retain
with them for longer time.
Hofstede' s Culture Model

In this cultural theory there are six dimensions are used to evaluate the culture of organization
which are presented in above sigram.
Power Distance
IN Arcadia Group of company high power distance is used in order to maintain high
control on operations of organization in the market place.
Collectivism Vs Individualism
To achieve the long term goals of organization collectivism approach is used. Which help
the organization to keep all people of organization together.
Uncertainty Avoidance Index
In Arcadia Group low uncertainty index is followed for risk taking, ambiguity. This
culture is most suitable for performance of organization in the market place.
Femininity Vs Masculinity
Masculinity culture is followed which is based on distinct gender roles, assertive and
material achievements. It is important for the performance of the organization in the market
place.
Short Term Vs Long Term Orientation
Illustration 1: Hofstede' s Culture Model
(Source: Hofstede’s Cultural Dimensions Theory, 2019)

All the operations that are performed in the Arcadia Group are based on the long term
orientation of organization. Company is more focused on future goals and objectives of
company.
Restraint Vs Indulgence
IN Arcadia Group indulgence culture is used in order to provide better satisfaction to
people who are working in organization.
Hofstede's culture model is based on the concept which is about impact of organization
culture on the personal work and life. Various dimensions are considered in these theory which
are explained above for Arcadia Group.
LO 2
P 2 Content and process theory of motivation that help to motivate employees to achieve target
Motivation refer to influence employees to work effectively in order to achieve the target
and increase the productivity. By this leaders and mangers try to increase the moral and
confidence of employees, so that they can give their best in order to obtain target of Arcadia
group.
There are different kinds of the motivational theories that help the organization and its employee
to get motivated and work effectively. In this motivational theories, consist some factors that
motivate people and influence their ability and willingness of work hard (Lăzăroiu, 2015).
Content theory of motivation
Content theory is concerned with the internal factors that influence the behaviour of human or ca
say influence the behaviour of employees in an organisation to increase the productivity. For this
Maslow's hierarchy need theory is to consider.
In 1943, Abraham Maslow's had given this theory of motivation hierarchy needs. This
theory of Maslow's is based on the basic needs and assumptions of the human that are derived by
the different variables (Fallatah and Syed, 2018). Maslow proposed this theory of motivation
under the five needs that are necessary to fulfil them by every human and those needs of humans,
motivate them to work. These needs are:
Physiological needs – In this, basis needs of human like, air, water, food, clothing and shelter are
being consider. These needs are the basic necessity of every human. If Arcadia company provide
all these facilities to their employees then it motivates them to work effectively. If Arcadia

company provide the canteen, proper free time to take rest, set proper working hours, Some
company also provide the house to their employees. In the direction to get more facility like this
and basic need are fulfil by the companies, then it motivates to work effectively for the
organization (D'Souza. and Gurin, 2016).
Safety needs – In this need include the emotional safety, protection and physical environment.
As Arcadia is retailing company in which different street styling clothes are being made. In this
may create the situation of harm, at the time cutting clothes, designing and printing. Arcadia
group provide the different facility like health and safety insurance to their employees, provide
safety measure that protect them from the big injury. Apart from this, Arcadia is also taken care
of their employees from any emotional torcher like to pressurize their employees or dominate
them to work. Leaders apply the different style and develop culture according to employees that
motivate them to work effectively for the organization.
Social needs - This needs include the love, care, affection and belongingness and friendship.
That affect the working ability of the employees in the Arcadia group. As Arcadia group provide
the culture where each and every employee have the freedom to share their thoughts, views and
opinion this thing and also develop the relationship and make friends in Arcadia group.
Employees of Arcadia get motivated and work effectively when they get friendly environment in
their office.
Esteem needs – This needs further distributed in two parts such internal needs like confidence,
self-respect , freedom and achievement. Other is external needs like power, recognizance,
position, attention and status. Arcadia provides ongoing training and development program to
their employees and also leaders direct them and guide them to work in correct direction. As
Arcadia apply the reward power in their organization give different opportunities to get
promotion and rewards. Employees see that Arcadia has various opportunities to grow and
leaders motivate them in every step on their work. These things motivate them to retain with
Arcadia and work willingly (Stoyanov, 2017).
self actualization needs - This need include the need to grow more, self actualization for what
an individual is capable of for what kind of work. Arcadia provides the different training
programs, seminar and workshops for the employees. In which they get chance to learn more and
learn new techniques, skills ad market trend that help the company and its employee to increase
productivity. Employee realize that Arcadia make effort to make their employees skilled, and

they are getting more learning opportunities that make satisfy them and can help to improve their
work. This thing motivates individuals and team to work with Arcadia group and contribute in
increase its sales and profit.
Herzberg's two factor theory
According to Herzberg's theory there are some job factors that results in satisfaction
while there are other job factors that prevents dissatisfaction. Herzberg's classified these two job
factors into two categories:
Hygiene factors:
Hygiene factors are the job factors which are essential for existence of motivation at
marketplace. They don't lead to positive satisfaction for long term. Hygiene factors symbolized
the physiological needs which the employee expected and wanted to be fulfilled. Hygiene factors
includes. The factors include pay, fringe benefits, status, etc.
Motivation factors:
According to herzberg, the hygiene factors cannot be regarded as motivators.
Motivational factors yield positive satisfaction. These factors motivate an individual for superior
performance which are inherent to work. Employees find these factors intrinsically rewarding.
Motivational factors include. It consists of factors recognition, sense of achievements, etc.
Theory X and theory Y
McGregor formulated theory X and theory Y suggesting two aspects of human behaviour
at work, one of which is negative, called as theory X and the other is positive called theory Y.
Thus theory X represents a pessimistic view while theory Y represents optimistic view of
employee’s nature and behaviour at work.
Process theory of motivation
Vroom's expectancy theory
Vroom's expectancy theory of motivation refer as one of the best process theory
(Kiatkawsin and Han, 2017). This theory of motivation is based on the activities that are
performed by the individual in order to achieve the goal, this motivates individuals that activities
help them to obtain their goal and then work effectively and more willingly. This theory is based
on the three variables, which are as follows:
Expectancy – This consists the idea that affect the individual and influence them that if the ideas
is effective, innovative and creative then, this motivates the employees of Arcadia to work

effectively in direction to implement that idea and thoughts in reality. Like If leader have the
idea about to create and new market trend in their clothing wear, which is innovative and
creative as well. This motivates employees that they willingly work to introduce those clothing
range in market by Arcadia (Lloyd and Mertens, 2018).
Instrumentality – Instrumentality is referred to the outcome of the ideas that are being prepared
by any individual. As Arcadia group introduce new clothing range in the market, if it will be
successful in the market and liked by the customer that this result of the idea will motivate
employees of Arcadia group to produce more something like this. That liked by the customers.
They again willingly produce new ideas and implement and work on that , this help organisation
as well to increase its productivity in market (Miner, 2015).
Valence – For example if employees of Arcadia is motivated by the money and salary then some
other things like holiday, rewards and many more things will not motivate their employees. As
employees of Arcadia group is attracted and motivated by the rewards and appraisal by their
work in from of the other employees of Acadia group. Then other facilities can not motivate
them (Poston and et.al., 2017).
Adam’s equity theory – It states that when people are treated in fair and equal manner they get
motivated. In this there is comparison done between person input and outcome. Moreover, if a
person compares their result with other and identify that output varies then they are motivated to
reduce inequity. Here, input involves skills, experience, etc. whereas in output are salary, reward,
etc.

Locke’s goal setting theory – this theory state that setting specific and challenging goals
motivate an individual to attain that. By this it becomes easy to evaluate performance and
encourage others to work more hard in order to achieve them. Generally, this theory is known as
goal setting theory act as motivational tool.
According to the McComb, (2017) Maslow's hierarchy need theory is more effective as
compare to the other theory, in order to motivate the individuals by providing and satisfying their
basic need. Not all employees only work to earn money, they want satisfaction from their job. As
this Maslow's hierarchy need theory, helps to fulfil all the needs whether it is basic, self-
satisfaction or money, al the needs are completed and employees get motivated to work more in
the company.
Whereas Kiatkawsin and Han, (2017) has stated that Vroom's expectancy theory is most
suitable to motivate the employees of Arcadia group. As in this, employees expectations are
being full filled. As they work according to their ideas and if it gets success then this motivates
employees to work harder to earn money and satisfaction.
From the arguments it has been analysed that, Maslow's hierarchy need theory is more
effective than vroom's theory, as it motivate employees of Arcadia in every situation by
satisfying and fulfilling all their needs.
LO 3
P 3 Effective team as opposed to ineffective team
As team is made up of two or more individuals that help to work collectively in order to
obtain common target. Whereas effective is collectively work together, which have ideal size and
members that also have clear goals. To make effective team, Arcadia group management follow
the Tuckman team development theory. This help the Arcadia management to get effective that
can help to achieve its overall organizational goals (McComb, 2017).
Tuckman Team Development Theory
This tuck man team development theory is based on the five stages, that help to form an
effective for the Arcadia group that can help to increase productivity of whole organization.
These stages are: